Soma Gold Receives First Shipment from Formalized Small Mine at El Limon

Soma Gold Receives First Shipment from Formalized Small Mine at El Limon

TSXV: SOMA | OTC: SMAGF

Overview

Soma Gold Corp. announced that the first delivery of mined material from the formalized Diamantina Mine has been received at the El Limon Mill in Zaragoza, Antioquia, Colombia. According to the company, the Diamantina Mine was formalized under Colombian law after more than five years of effort, making it the first of 24 small mines in various stages of formalization on Soma's 43,000-hectare property.

The formalization contract allows Soma to purchase mineralized rock in exchange for a percentage of the gold contained in each shipment. The company reported that 1,700 MT of stockpiled material produced at Diamantina is currently being transported to the mill for processing, with the mine permitted to produce up to 40 MT per day and targeting that rate by mid-year.

Key Highlights

  • First small mine on Soma's property has completed the formalization process under Colombian law after five-plus years of effort
  • Diamantina Mine is permitted to produce up to 40 MT of material per day, with the objective of reaching full production by mid-year
  • 1,700 MT of stockpiled material is currently being transported to the El Limon Mill for processing
  • Ore sorting equipment has arrived in Colombia and is expected to be installed and tested by mid-2026, with full commercialization targeted for the second half of the year
  • Once operational, the ore sorting system is expected to increase El Bagre Mill throughput from 450 TPD to between 700 and 750 TPD
  • Nechi Mine PTO (mining permit) application is approximately 95% complete, with submission expected in April 2026
  • The company confirmed 2025 AuEq production totaled 18,670 ounces

Strategic Context

Soma stated that formalization of small miners has been a key part of its strategy for many years. Diamantina is the first of approximately 60 small mines operating on the company's property, with 23 additional mines currently in various stages of formalization. The company expects several other small mines nearing the end of the process to start supplying El Limon later this year.

CEO Geoff Hampson noted that the company is several months behind schedule in increasing production from both its own small mines and formalized small miners. According to management, these delays were caused by the lingering effects of last year's work stoppage, which halted all operations, as well as difficulty hiring qualified workers in the region. The company reported that mechanical issues identified during the restart period have since been addressed and normal operations have resumed.

Resources and Operational Data

  • El Bagre Mill capacity: 450 TPD (expected to increase to 700 to 750 TPD with ore sorting)
  • El Limon Mill: Restarted in Q3 2025
  • Combined current milling capacity: 675 TPD
  • 2025 AuEq production: 18,670 ounces
  • Nechi Mine (once constructed): Expected to add 250 TPD of feed to El Bagre Mill, with incremental production of approximately 25,000 AuEq ounces per year
  • Property size: 43,000 hectares in Antioquia, Colombia

What to Watch Next

  • Diamantina Mine ramping to full 40 MT per day production rate, targeted by mid-year
  • Additional small mines expected to complete formalization and begin supplying El Limon later in 2026
  • Installation and testing of ore sorting equipment at El Bagre Mill, expected by mid-2026
  • Nechi Mine PTO application submission anticipated in April 2026, with permit approval expected before year-end
  • Full commercialization of ore sorting technology in H2 2026

About Soma Gold Corp.

Soma Gold Corp. (TSXV: SOMA) is a profitable mining company focused on gold production and exploration. The Company owns over 430 sq. kilometers of mineral concessions following the prolific OTU fault in Antioquia, Colombia and two fully permitted mills located within 25 kilometers of each other, with a combined milling capacity of 675 TPD. The El Bagre Mill operates at 450 TPD and the El Limon Mill restarted operations in Q3 2025. Internally generated funds are being used to finance a regional exploration program. The Company also owns an exploration property near Tucuma, Para State, Brazil that is currently under option to Ero Copper Corp.

Read full press release here.

ArcStone Financial Pulse Team

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